HB 544 - Pharmaceutics; certain government purchases; prohibit

Georgia House of Representatives - 1995/1996 Sessions

HB 544 - Pharmaceutics; certain government purchases; prohibit

Page Numbers - 1/ 2
Code Sections - 26-4-170
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House Comm: H&E / Senate Comm: / House Vote: Yeas Nays Senate Vote: Yeas Nays ---------------------------------------- House Action Senate ---------------------------------------- 2/2/95 Read 1st Time 2/3/95 Read 2nd Time ---------------------------------------- Code Sections amended: 26-4-170
HB 544 LC 11 8543 A BILL TO BE ENTITLED AN ACT 1- 1 To amend Article 2 of Chapter 4 of Title 26 of the Official 1- 2 Code of Georgia Annotated, relating to pharmaceutics, so as 1- 3 to prohibit certain government purchases of drugs from 1- 4 certain drug manufacturers and sellers under certain 1- 5 conditions; to provide for definitions; to repeal 1- 6 conflicting laws; and for other purposes. 1- 7 BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA: SECTION 1. 1- 8 Article 2 of Chapter 4 of Title 26 of the Official Code of 1- 9 Georgia Annotated, relating to pharmaceutics, is amended by 1-10 adding at the end thereof a new part to read as follows: "Part 7 1-11 26-4-170. (Index) 1-12 (a) As used in this Code section, the term: 1-13 (1) 'Drug' means: 1-14 (A) Any substance regulated under paragraph (4) of 1-15 Code Section 16-13-21 as a controlled substance or 1-16 subsection (a) or (b) of Code Section 16-13-71 as a 1-17 dangerous drug; 1-18 (B) Any substance defined under paragraph (13) of Code 1-19 Section 26-4-2; or 1-20 (C) Any substance subject to Section 201(g) of the 1-21 Federal Food, Drug, and Cosmetic Act. 1-22 (2) 'Manufacturer' means: 1-23 (A) Any person regulated under the Federal Food, Drug, 1-24 and Cosmetic Act; 1-25 (B) Any person subject to Code Section 49-4-152.1; 1-26 (C) Any person regulated under Code Section 26-4-111; 1-27 or -1- (Index) LC 11 8543 2- 1 (D) Any person who lawfully sells drugs to sellers or 2- 2 purchasers. 2- 3 (3) 'Purchaser' means any person who engages in the 2- 4 lawful distribution or dispensing of drugs to consumers. 2- 5 (4) 'Seller' means any person who lawfully sells drugs 2- 6 to purchasers, including but not limited to drug 2- 7 manufacturers and wholesalers. 2- 8 (b) The state and its departments, agencies, 2- 9 instrumentalities, authorities, and political subdivisions 2-10 are prohibited from purchasing any drugs from a 2-11 manufacturer or seller unless the manufacturer or seller 2-12 offers drugs to every purchaser or purchaser facility 2-13 which takes delivery of the drugs within the state with 2-14 all the rights and privileges offered or accorded by the 2-15 manufacturer or seller to the most favored purchaser or 2-16 purchaser facilities taking delivery of drugs in this 2-17 state, including, but not limited to, purchase prices for 2-18 similar volume purchases, rebates, free merchandise, and 2-19 other similar trade concessions on proportionally equal 2-20 terms to every purchaser. The provision of a discount for 2-21 volume purchases shall not result in the prohibition 2-22 specified in this subsection so long as such discount is 2-23 justified by the economies or efficiencies resulting from 2-24 such volume purchases and such discount is made available 2-25 to all purchasers and purchaser facilities on 2-26 proportionally equal terms. 2-27 (c) In the event the prohibition imposed by subsection (b) 2-28 of this Code section would result in the loss of federal 2-29 Medicaid or other federal funds, that prohibition shall 2-30 not apply only to the extent necessary to avoid such 2-31 loss." SECTION 2. 2-32 All laws and parts of laws in conflict with this Act are 2-33 repealed. -2- (Index)

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Last Updated on 01/02/97